Respuesta :
Answer:
Q's NIIT is $5,776
Explanation:
Net Investment Income Tax (NIIT) is imposed through the Section 1411 of the IRC (Internal Revenue Code). It is applied at the rate of 3.8% to the net investment income of individuals.
The threshold amount for Single amounts to $200,000.
In this case, the modified adjusted gross income was $352,000 which is more than the threshold income. So, at 3.8% rate it will applied.
Net investment income = Profit - fees
= $352,000 - 0
= $352,000
Therefore, the threshold limit will be excluded. So, the remaining balance will be $152,000
= $152,000 × 3.8%
= $5,776
Note: This is the correct answer.
